4 ms·

Actually, prior documents released from Motorola and Apple show that Motorola wanted 2.25% of Apple's revenue for its patents[1] - on a $500 device, that's $1.5

• bgeorgescu 14y ago
  2.25% of $500 is $11.25
  • deleted 14y ago
    [deleted]
  • ozataman 14y ago
    .. and that makes up a pretty hefty hit on the bottom line. A 2.25% drop in revenue could very well cause a >10% drop in profits, even with Apple's large margins.
• jsz0 14y ago
  I think this is an issue of FRAND vs. non-essential patents. Motorola has to license certain patents at reasonable costs. Apples design and non-essential patents have no price controls. They can ask for whatever they want. It's more similar to Microsoft's licensing deal where they get $10-$15 per handset for a handful of non-essential patents. If Apple has more of these non-essential patents that OEMs want to use $30-$40 might be the going market rate for them.